House panel okays CDA Charter amendments

CEBU, Philippines - The House Committee on Cooperatives Development has approved the consolidated version of six bills that seek to reorganize the Cooperative Development Authority (CDA).

This include the House Bill No. 2391 which seeks the amendment of Republic Act No. 6939, otherwise known as the Charter of the Cooperative Development Authority (CDA) for the orderly and efficient implementation of the R.A. No. 9520, otherwise known as the Philippine Cooperative Code of 2008.

CDA is the sole government agency that regulates cooperatives in the country. At present, there are about 25,000 cooperatives registered with the agency.

Other related measures are authored by Reps. Cresente Paez and Anthony Bravo; Agapito Guanlao, Rufus Rodriguez and Maximo Rodriguez; Diosdado Arroyo and Gloria Macapagal-Arroyo; and Rodolfo Biazon.

From the Committee headed by Paez, the consolidated bill will be referred to the Committee on Rules for second reading.

“This measure strengthens the supervisory and regulatory powers of the CDA. We clothed CDA with additional powers to mediate, conciliate and or arbitrate disputes within and between cooperatives upon request and in accordance with Art. 137 of R.A 9520,” said Paez.

The proposed measure will also ease the process for cooperatives to avail tax exemption privileges as the certificate of registration of a cooperative will ipso facto constitute as the sole legal basis for full enjoyment of tax exemption. The Certificate of Good Standing (CGS) will no longer be required.

The Committee, together with the Senate Committee  on Cooperatives led by Senator Ferdinand Marcos, Jr. conducted joint public hearings in Cebu City and Davao City last year to gather the opinion and sentiments of the cooperative sector and the stakeholders.

The authors sought for the approval of the measure so that the CDA will become more responsive to the purpose and provisions of RA 9520.

The counterpart bill in the Senate, authored by Marcos, is expected to be passed on second reading within the week. (FREEMAN)